Northern Ireland: Strategic Framework for Good Relations

Baroness Amos: My right honourable friend the Minister of State for Northern Ireland has made the following Written Ministerial Statement.
	This Statement sets out how I intend to take forward the policy and strategic framework for good relations in Northern Ireland.
	The Government's vision for the future of Northern Ireland is that of a peaceful, prosperous, stable and fair society firmly founded on the achievement of reconciliation, tolerance and mutual trust and the protection and vindication of human rights for all. The founding principles of partnership, equality and mutual respect ensure a basis for good relationships.
	The publication of the policy today sets out our aim establishing over time a shared society defined by a culture of tolerance; a normal, civic society, in which all individuals are considered as equals, which respects diversity and where violence is an illegitimate means to resolve differences, but where differences are resolved through dialogue in the public sphere. The policy document outlines realistically the scale of the challenge and that good relations will build on the significant progress of the equality agenda.
	The policy objectives to achieve the policy aim include: eliminating sectarianism, racism and all forms of prejudice to enable people to live and work without fear or intimidation; reducing tension and conflict at interface areas; facilitating the development of a shared community where people wish to learn, live, work and play together; promoting civic-mindedness via citizenship education through school and lifelong learning; protecting members of minorities (whether for example by religion, race or any other grounds) and mixed marriages from intimidation and ensure perpetrators are brought to justice; ensure that all public services are delivered impartially and guided by economy, efficiency and effectiveness; shaping policies, practices and institutions to enable trust and good relations to grow; encouraging understanding of the complexity of our history, through museums and a common school curriculum; supporting cultural projects which highlight the complexity and overlapping nature of identities and their wider global connections; supporting and learning from organisations working across ethnic divides for reconciliation, including those operating on a north-south basis; ensuring that voice is given to the diverse victims of violence in Northern Ireland, including via archives and victim-centred reconciliation events; encouraging communication, tolerance and trust across Northern Ireland, but particularly in areas where communities are living apart; promoting dialogue between, and mutual understanding of, different faiths and cultural backgrounds, both long-standing within Northern Ireland and recent arrivals to these shores, guided by overarching human-rights norms.
	The policy, which is underpinned by a series of fundamental principles, will be taken forward at three levels. First, a triennial action plan covering actions across public authorities will be prepared by the autumn. Secondly, the roles and functions of the community relations council will be enhanced to support the policy. Thirdly, a new district council good relations challenge programme will be established by 2007 to replace the existing district council community relations' programme.
	The Government will lead by example and set the pace to promote good relations with a strong public policy agenda. Ultimately, however, sustained and deeper progress depends on political stability. It will require leadership at political, civic and community levels.
	Copies of A Shared Future: Policy and Strategic Framework for Good Relations in Northern Ireland have been placed in the Libraries of the House and are also available on the website www.asharedfutureni.gov.uk.
	The racial equality strategy for Northern Ireland will be published in the near future, following consultation with the Northern Ireland Race Forum.

Security and Development Strategy

Baroness Amos: My right honourable friend the Secretary of State for International Development (Mr Hilary Benn) has made the following Written Ministerial Statement.
	I am today placing in the Libraries of both Houses copies of a new paper entitled Fighting Poverty to Build a Safer World: a Strategy for Security and Development published by the Department for International Development (DfID).
	The strategy—which has been produced in close consultation with other government departments, NGOs, researchers, the UN and other international organisations—analyses the links between security and development. It shows how we can better promote the security of the poor, and suggests ways in which the international system can better achieve both security and development goals.
	Security matters for poor people in poor countries. In times of peace, they are the worst affected by violent crime, lawlessness and state-sanctioned abuse; and in times of conflict, millions of poor people have been killed, injured or forced from their homes. So the poor need security as much as they need clean water, schooling or affordable health.
	DfID has been at the forefront of international efforts to promote security for poor people. We have initiated programmes to support police and security sector reform in developing countries, in order to make these public services more effective and accountable; we have improved access to justice for poor people; we have tackled poor governance; and we have developed ways of analysing conflict and insecurity, including their impact on the poor. But we need to do more. Our aim is to promote security as a basic entitlement of poor people.
	The strategy explains how we will put the safety and security of the poor at the heart of our development work. We will make more use of political and conflict analysis in our programme design; pay greater attention to how regional and global conflict and insecurity affect the poor in countries where we work; focus our work to improve governance more directly on the security of the poor, including giving more attention to the role of security and police services and the judiciary; link conflict prevention and conflict reduction more regularly into our programmes; and work with a wider range of civil society organisations, so as to build relationships with groups with different views on development.
	To implement the strategy, we will work closely with other government departments, international organisations including the European Union and the United Nations, and governments and communities in our partner countries.

Legal Services Reform

Lord Falconer of Thoroton: On 15 December 2004, I informed the House that I had warmly welcomed Sir David Clementi's report on the regulation of legal services in England and Wales and broadly accepted his main recommendations. Since publication of the report, I have met key stakeholders, including consumer groups, a number of times. In the course of these meetings we have built a strong consensus in support of consumer-focused reform of legal services.
	I will publish a White Paper later this year. I will set out detailed proposals for a legal services board. Regulatory powers will be vested in the board, and delegated by it to the professional bodies, as long as they meet the standards the board sets. The professional bodies will be required to separate their regulatory and representative functions.
	The White Paper will set out the arrangements for appointing members to the legal services board, and will propose a lay chair and a lay majority with appointments being made on merit, by the Secretary of State for Constitutional Affairs. The board will have a range of sanctions available. The White Paper will set these out, but I expect them to include setting targets, imposing fines, issuing guidance, directing a professional body and removing one or more regulatory powers, with the board ultimately having the power to remove regulatory powers from any professional body which has failed. Taken together, these arrangements provide a robust framework that will promote consumer interests.
	I accept Sir David's recommendation for an office for legal complaints. This will be simpler for consumers to use and understand and will provide consistent, fair and professional handling of cases for all complainants. As with the legal services board, the White Paper will set out the detailed arrangements, but I expect the office will also be led by a board with a lay chair and a lay majority.
	I warmly welcome Sir David's proposals to facilitate the creation of new business structures. Non-lawyers will be able for the first time to become managers, owners or investors in legal practices. This will create an opportunity to bring in new capital and develop new ways of working that should benefit consumers. Robust safeguards will be established to protect the consumer and the profession's reputation.
	Many of the changes that will be outlined in the White Paper will require legislation and I intend to bring forward that legislation when parliamentary time allows. I am committed to legislating to bring the regulatory framework I have described into full effect.
	I can announce today that I have set up a consumer panel to advise the Government as we take forward reforms. The panel will comprise representatives from Citizens Advice, the Federation of Small Businesses, the National Consumer Council, the Welsh Consumer Council and Which?.
	Going forward, I will continue to work closely with all interested parties to ensure that we establish a new framework for the regulation of legal services that protects and promotes the needs of consumers and allows the legal profession to flourish and retain its reputation as the best in the world.

Armed Forces: Skynet 5

Lord Bach: My right honourable friend the Minister of State for the Armed Forces (Mr. Adam Ingram) has made the following Written Ministerial Statement.
	I am pleased to announce that Skynet 5 has been accepted into service on time and to cost.
	This represents a tremendous accomplishment by all parties concerned in the enterprise arrangement, and shows how PFI can successfully be brought to bear to provide our Armed Forces with the best available capability at the right price.
	In addition to the enhancement to our defence capability, achievement of ISD is good news for our industry. The achievement shows that excellent results can be achieved in a demanding environment through close partnering between public and private sectors. The Skynet 5 project enables around 1,900 jobs to be sustained or created over the life of the programme.

Valuation Office Agency: Key Performance Indicators 2005–06

Lord McIntosh of Haringey: My right honourable friend the Paymaster General (Dawn Primarolo) has made the following Written Ministerial Statement.
	I have today set the following key performance indicators for the Valuation Office Agency for 2005–06:
	Valuation Accuracy
	2000 local rating list: Confirm that reductions in the lists are kept to a maximum of 4.7 per cent of the total compiled list rateable value over the entire life of the lists.
	2005 rating lists: Contain reductions in the 2005 rating lists to a maximum of 4.2 per cent of the total compiled list rateable value over the entire life of the 2005 rating lists.
	Council Tax Revaluation—England
	Prepare for the forthcoming revaluation of domestic properties in England by undertaking 15 million valuations by 31 March 2006.
	Council Tax—Wales
	Clear by 31 March 2006 (up to a maximum of 30,000 cases) those appeals received by 30 September 2005.
	Value for money 1
	Improve productivity by 5 per cent in 2005-06 and be on course to achieve improvements of at least 15 per cent over the four years from 2004–05 to 2007–08.
	Inland Revenue
	Clear 96 per cent of inheritance tax initial appraisal cases referred by the Inland Revenue, within 30 working days of receipt.
	Land Services
	Cover costs and achieve an income figure in 2005–06 of £21.1 million.
	Customer satisfaction 2
	Achieve customer satisfaction, based on annual surveys, of 86 per cent.
	People satisfaction
	Improve staff satisfaction in working for the VOA in comparison with other places of work, based on annual surveys, by 1 per cent. 1 During 2005–06, the VOA will endeavour to broaden this measure to reflect the significant additional work being undertaken to prepare for the council tax revaluation in England in 2007, and the new "right first time" approach to handling appeals against the 2005 rating lists. 2 During 2005–06 this measure will be broadened to cover all the main areas in which we have direct contact with the citizen, whether as ratepayers or council tax payers. The indicator will be re-based following the 2005–06 results.

Horseracing: Funding

Lord McIntosh of Haringey: My right honourable friend the Minister of State for Sport and Tourism (Mr. Richard Caborn) made the following Written Ministerial Statement on 18 March.
	It remains the Government's view that commercial agreements between the relevant parties provide the appropriate long-term basis for the funding of racing. However, in the light of a judgment by the European Court of Justice last September it has become clear that the British Horseracing Board is not in a position to proceed immediately with its plans to fund racing by the sale of database rights in place of the current statutory levy. Following consultations with the Horserace Betting Levy Board, the British Horseracing Board and the Association of British Bookmakers, I have therefore accepted the interim recommendations made by the independent review group, chaired by Lord Donoughue, that more time is needed to develop the commercial options and that it is in the public interest in the well-being of the sport that the levy arrangements should therefore remain in place for a further limited period. We will accordingly be making an order under Part 2 of the Horserace Betting and Olympic Lottery Act 2004 to end the levy on 31 March 2009, and to close the levy board six months later.
	I welcome the agreement of the parties that Lord Donoughue's group should continue to explore the commercial options, considering all areas relating to the funding of racing which it believes are relevant to establishing appropriate post-levy arrangements, with a view to preparing a final report this autumn. It will then be for the British Horseracing Board and the other parties to work towards putting agreed arrangements in place to meet the above timescale.
	In the mean time it is important that racing continues to take forward the modernisation of its structures, with priority being given to the establishment of an independent regulatory authority.
	It is also important that, both now and after the ending of the levy arrangements, there continues to be proper financial support for the advancement of veterinary science and education and for the improvement of breeds of horses, which are the levy board's other statutory purposes. I have therefore made clear the Government's wish to see the board, while it continues in being, take over the funding commitments previously given by the British Horseracing Board in respect of the Equine Fertility Unit and the equine genome project; to maintain support for veterinary science and education at 2.5 per cent of levy income and for breed societies at no less than current levels; to take forward consideration of the establishment of a university chair in the field of equine veterinary science; and to complete the grant to the national stud, for which budget provision was previously made, on the stud's proposed re-establishment as an independent charitable trust.
	I wish to place on record my appreciation of the work of the members and staff of the levy board, who have been contending with an extended period of uncertainty, and of their commitment to running the levy arrangements effectively for longer than had previously been expected.
	I am aware that other sports, particularly football, have also been affected by the ECJ judgment. I have met with representatives from the football industry and I look forward to working with them, as I have done with racing, as they develop their own solutions to the funding difficulties arising from this ruling.

Inheritance Tax and Pensions

Lord McIntosh of Haringey: My right honourable friend the Paymaster General (Dawn Primarolo) has made the following Written Ministerial Statement.
	We have been asked to clarify how inheritance tax (IHT) will apply to choices made by pension scheme members under the new simplified pension regime, and in particular what the implications are when scheme members opt for an alternative secured pension rather than taking an annuity at age 75 as they have been obliged to do in the past.
	The same broad principles will continue to apply to the new regime as they have done to the old rules, and as they do to any other situation where people are able to make choices affecting their future wealth and that of others.
	People are broadly treated as making a taxable transfer for IHT purposes when they omit to increase their own wealth in favour of increased wealth for others, just as they are when they transfer to others, wealth that they already have. This is a principle of general application, and has always applied to choices under pension schemes as it has to any other choices that people make about their wealth. It is important that we maintain this principle, both in the interests of fairness between taxpayers and to ensure that pension funds remain dedicated primarily to providing retirement income.
	The Inland Revenue published a statement of practice in 1992 setting out when IHT would be applied to choices made under the pension rules in force at that time. A new and wider range of choices will be available under the simplified regime, and that statement will no longer be valid. Treatment broadly comparable to that in the statement may remain appropriate in some situations, but in others that is clearly no longer so.
	I have asked the Revenue to open discussions with interested parties to seek a consensus on the detailed application of IHT law to the new situations arising under the simplified regime, and on how in practice cases which are chargeable should be identified and any charge should be quantified. The Revenue will shortly be publishing a consultation document setting out its analysis of the IHT issues as a basis for these discussions.
	ASPs were designed to provide an alternative to annuitisation for those with religious objections to risk pooling. They were not meant as a vehicle for inter-generational transfers by scheme members generally, and the Government will continue to monitor the situation to ensure that they are not being used for avoidance.

North West Regional Development Agency

Lord Sainsbury of Turville: My right honourable friend the Secretary of State for Trade and Industry (Ms Hewitt) has made the following Written Ministerial Statement.
	I have decided to reappoint Bryan Gray as the chair of North West Regional Development Agency for a second term.
	The appointment will begin on 1 April 2005 and will expire on 13 December 2008. I have placed further details of this appointment in the Libraries of both Houses. The appointment was made in accordance with the Code of Practice of the Commissioner for Public Appointments.

Department of Health: Arm's Length Bodies

Lord Warner: My right honourable friend the Secretary of State for Health made the following Written Ministerial Statement on 18 March.
	On 30 November 2004 (Official Report, cols. 24–27 WS) I announced the publication of an Implementation Framework for Reconfiguring the Department of Health's Arm's Length Bodies (ALBs) and achieving its three overarching objectives:
	a 50 per cent reduction in the number of ALBs;
	a saving in expenditure by ALBs of £0.5 billion by 2007–08; and
	a reduction in posts of 25 per cent in the same period.
	The ALB change programme is part of a wider programme to improve efficiency and cut bureaucracy in the management of the National Health Service. The aim of these activities is to reduce the burden on the front line and free up more resources for the delivery of front line services to patients and users. This wider programme is to ensure that the increased investment in the NHS—42 per cent in real terms from 2003–04 to 2007–08—is accompanied by modernisation that cuts out waste.
	Today I am announcing the achievement of a further milestone towards the ALB change programme's key objectives. In November 2004 we made the following commitment as a first step towards our savings target on ALB expenditure:
	"Even with these new functions, which bring new costs, we will be setting the 2005–06 budget for the ALB sector so that it will cost about £100 million a year less to run than in 2003-04."
	I am pleased to report that I am today setting budgets for the operating costs of ALBs for 2005–06 which will reduce Department of Health funding by in excess of £150 million compared with 2003–04. This is despite the fact that in 2004–05 the ALB sector assumed new functions agreed by Parliament that increased the sector's costs substantially. A significant proportion of the savings generated in Department of Health funding will be redeployed for investment in front line healthcare. We have additionally provided some £50 million to fund one-off identified costs in ALBs. This includes initiatives which will deliver savings in future years and enable us to continue the downward trend in operating costs for the ALB sector when we set budgets for 2006–07 and 2007–08.
	In setting the 2005–06 budgets, we have:
	invested in ALBs which deliver front line healthcare, like the National Blood Authority (an increase in Department of Health funding of more than £38 million over 2003–04), or carry out crucial work to protect public health, like the Health Protection Agency (an increase in Department of Health funding of more than £36 million over 2003–04);
	achieved the greatest savings in ALBs which provide central services to front line NHS organisations. The reduction in Department of Health funding for this group of ALBs comes to more than £220 million compared to 2003-04 and provides a lower cost-base for overheads in future years; and
	met our commitment that spending on ALBs undertaking inspection and regulation will not exceed 0.4 per cent of the national spend on the NHS and social care and made progress on our policy of full cost-recovery for work relating to the independent health and social care sector.
	Alongside these savings, we are also on course for ALBs to generate very substantial savings for the NHS front line by improving the efficiency of the services they provide centrally on behalf of the NHS.
	We expect to generate further savings of over £100 million in 2005–06 from new national framework agreements let by the NHS Purchasing and Supply Agency (PASA) alone. This follows savings of over £25 million in 2004–05. PASA is on target to achieve savings of £240 million per annum by 2007–08 for the NHS. Work is also under way to deliver efficiencies in the services offered by other ALBS. Taken together, this puts us well on course to meet or exceed our commitment to deliver £250 million to the front line by the end of 2007–08 through efficiencies generated by ALBs, as promised in the 30 November 2004 implementation framework.
	The major reconfiguration of individual ALBs is also on course. The total number of ALBs will have reduced from 38 in 2003–04 to 34 on 1 April and is on course to reduce further to 31 by 1 October this year. The changes are:
	the Family Health Services Appeal Authority (SHA) (FHSAA SHA) will be dissolved on 1 April and its functions absorbed by the NHS Litigation Authority (NHSLA);
	the Health Development Agency (HDA) will be dissolved on 1 April and its functions absorbed by the National Institute for Clinical Excellence (NICE);
	the National Clinical Assessment Authority (NCAA) will be dissolved on 1 April and its functions transferred to the National Patient Safety Agency (NPSA);
	the NHS Information Authority (NHSIA) will be dissolved on 1 April and certain functions transferred to the Health and Social Care Information Centre (HSCIC) and to the National Programme for IT (NPfIT);
	the National Radiological Protection Board (NRPB) will be dissolved on 1 April and its functions transferred to the Health Protection Agency (HPA);
	The Public Health Laboratory Service (PHLS) will be dissolved on 1 April and its functions transferred to the Health Protection Agency (HPA);
	the Human Tissue Authority (HTA) will be created on 1 April and work closely with the Human Fertilisation and Embryology Authority (HFEA) ahead of the merger of the two bodies to form the Regulatory Authority for Tissue and Embryos (RATE) which requires new legislation;
	the Health and Social Care Information Centre (HSCIC) will come into being on 1 April to co-ordinate information requirements across health and social care more efficiently;
	the National Programme for IT (NPfIT) will become an agency on 1 April;
	the NHS Modernisation Agency and NHSU are due to be dissolved by 31 July 2005 and some of their functions taken on by the new NHS Institute for Learning, Skills and Innovation which is due to be set up by the same date;
	the National Blood Authority and UK Transplant will be merged and become NHS Blood and Transplant by 1 October 2005; and
	NHS Estates is being wound down and will be dissolved no later than 1 October.
	Following is a table showing the 2005–06 recurrent operating costs budgets for 33 of the ALBs which will exist on 1 April this year. The total of those budgets includes £1,107 million grant in aid from the Department of Health, as well as income from other sources, such as fees charged to industry. The total grant in aid provided by the department in 2003–04 was £1,265 million. Therefore the 2005–06 grant in aid is over £150 million less than that included in 2003–04 operating costs. We have additionally funded £50 million one-off costs in order to enable further recurrent savings in later years.
	These changes are only the first part of our plan for reconfiguring the ALB sector. Over the coming year we will:
	drive forward further major reconfigurations of ALBs so that total numbers in the sector are reduced to 24 by April 2006;
	maintain momentum towards releasing at least £0.5 billion for the front line by the end of 2007-08 through further reductions in overall;
	ALB budgets in 2006-07 and continued savings in the central services which ALBs provide on behalf of the NHS;
	as part of this, put in place firm plans for delivering further savings of £35-40 million a year by 2007-08 through efficiencies in ALB overheads (for example back office services and accommodation), in line with the expectations set out in the Gershon review;
	make further reductions in the proportion of national spend on the NHS and social care which goes on inspection and regulation and make further progress on full cost recovery; and
	take forward the commitment in Wednesday's Budget announcement to bring together the Healthcare Commission and the Commission for Social Care Inspection by 2008.
	The ALB budgets we are setting for 2005-06 will reduce Department of Health funding by more than £150 million compared with 2003-04. The resulting savings will contribute to our overall investment in NHS front line healthcare. Taken together with growing efficiencies in services provided by ALBs to the wider NHS they place the sector on a firm footing to achieve the target of £500 million savings by the end of 2007–08.
	
		ALB Recurrent Operating Costs 2005–06 -- 17 March 2005
		
			  Operating Costs 2005-06 excluding non-recurrent elements 
			 ALB name £000 
			 Regulators  
			 HC1 78,732 
			 MHAC 5,218 
			 Monitor 12,000 
			 CSCI1 144,260 
			 HFEA 8,421 
			 HTA 1,000 
			 CRHE 1,950 
			 GSCC 14,310 
			 PMETB 6,742 
			 DVTA 281 
			 MHRA 62,970 
			 Standards  
			 NICE 29,894 
			 HdA 0 
			 Public Welfare  
			 NPSA 28,618 
			 NCAA 0 
			 HPA 228,600 
			 NRPB 0 
			 PHLS 0 
			 NBSB 19,739 
			 NTA 11,510 
			 CPPIH 29,930 
			 Central Services  
			 NBA (inc. BPL) 401,700 
			 UKT 13,572 
			 NHS LA 14,095 
			 FHSAA 0 
			 NHS AC 5,981 
			 NILSI 80,000 
			 NHSU 0 
			 NHS MOD 0 
			 NHS IA/HSCIC 42,900 
			 DPB 23,062 
			 PPA 75,606 
			 NHS CFSMS 14,897 
			 NHS PA 22,066 
			 NHS PASA 22,081 
			 NHS LOGS 70,658 
			 NHS DIRECT 161,900 
			 NHS PROF 31,000 
			 NHS EST 1,000 
			 NPFIT 115,230 
			 Total 1,779,923 
		
	
	Notes:
	1 Operating costs exclude capital charges but include income from other sources, such as fee income, as well as DH funding.
	2 NHS Estates to be dissolved by 1 October 2005—one off DH funding of £17.9 million. Operating costs are transfers to other ALBs.

Adult Social Care: Green Paper

Lord Warner: My right honourable friend the Secretary of State for Health has made the following Written Ministerial Statement.
	I am announcing today the publication of the Green Paper Independence, Well-being and Choice: our vision for the future of social care for adults in England (Cm 6499).
	This is an important part of our modernisation programme for public services and will set the social care agenda for the next decade. Formal consultation will enable us to develop firm proposals which will transform the lives of people who use social care by giving them more control and more choice in helping them to decide how their needs can best be met.
	These ambitions are based on what people who use services told us they would like to see. Turning this shared vision into reality will mean that social care services will have to be redesigned to give people more control over their assessments and how the money is spent. But this is not just about social care services. We want to see the capacity of the whole community harnessed to make sure that people have access to the full range of universal services to secure the best possible outcomes for all adults.
	The key proposals in the paper include the wider use of direct payments and the piloting of individual budgets to stimulate the development of modern services delivered in a way that people want; a strong strategic and leadership role for local government; closer working between health and social care sectors and greater involvement for the community and voluntary sector; plans to stimulate care capacity and informal caring; and encouraging the use of new models of service delivery, including assistive technology and extra care housing, and a greater focus on preventive services.
	The ideas that we have put forward are designed to encourage and stimulate discussion about the future direction for adult social care. We would expect to develop concrete proposals for implementation following the formal consultation.
	The consultation will run until 28 July 2005 and will apply to England only. Copies of Independence, Well-being and Choice have been placed in the Libraries of both Houses and are also available from my department's website at www.dh.gov.uk/socialcare.